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Nonprofits Need Equity Too: The Case for Providing “Enterprise Capital”

NonProfit Quarterly

Credit: Morgan Housel on Unsplash The funding landscape for nonprofits has undergone a seismic shift. Todays model for funding nonprofits and social enterprises is fundamentally broken. There is a better path forward, one we call enterprise capital. What Is Enterprise Capital?

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The Next Generation of Mutualism

Stanford Social Innovation Review

By Sara Horowitz You can feel it when you walk into a mutualist space for the first timewhether its a worker cooperative in North Carolina , a community garden , a labor-housing cooperative , a cohousing group in New York City, a nonprofit building in Portland, Oregon , or a social cooperative in the Italian Alps.

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How Guarantees Can Advance Community Development and Racial Equity

NonProfit Quarterly

While many foundations screen their endowment investments based on environmental, social, and governance factors, only a few optimize their investment strategies for mission impact. There is, however, a way for nonprofits to gain greater access to “flexible” capital and for foundations to generate a financial return.

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A Social Movement Requires Momentum

Stanford Social Innovation Review

This speaks directly to the central paradox: While the traditional approach to money management is part of the problem in philanthropy and impact investing, chosen strategies have also played an outsized role in where we are. What if DAFs and foundations relied on fund allocators and managers who are proximate to communities and their issues?

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How to Advance a Regenerative Economy

NonProfit Quarterly

In the nonprofit sector, it requires transcending the standard hierarchical funder-nonprofit dynamics and replacing them with norms of power sharing and reciprocity. Unlike many funding opportunities, qualifying projects did not need to have nonprofit tax status or be fiscally sponsored by a nonprofit.

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Impact Investing Can’t Deliver by Chasing Market Returns

Stanford Social Innovation Review

Most practitioners working in community development have accepted this as the reality of impact investing: The harder you drive for social impact in disadvantaged communities, the farther away you get from unbuffered full market return.

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How Resident-Owned Communities Can Create Mass Affordable Homeownership

NonProfit Quarterly

Founded in 2008 with backing from the Ford Foundation, NeighborWorks America, New Hampshire Community Loan Fund, Capital Impact Partners, and Prosperity Now, ROC USA and its affiliates have assisted 22,000 residents in over 300 communities in 21 states to collectively purchase and manage their ROCs.